Palantir (NASDAQ: PLTR) is set to release its third-quarter earnings report today, November 3, with investors watching closely given the performance so far this year.
Last quarter, the company exceeded Wall Street expectations by a wide margin, delivering $1 billion in revenue, up 48% year-over-year (YoY), and topping consensus estimates by 6.8%. Now, analysts forecast revenue of $1.09 billion (+50.7% YoY).
Unsurprisingly, Palantir stock is reacting positively to the optimism, trading at $200 at the time of writing, up 3% over the past 24 hours and another 2.20% in pre-market.
Palantir’s momentum
PLTR shares are heading into the final quarter with strong momentum. If Palantir manages to meet analyst expectations, the numbers will present a sharp increase from the same period last year, when the software firm reported only a 30% increase in revenue. In a more bullish scenario, some predictions go, the PLTR stock could reach $250 in the near term.
The outcome is more than likely, as Palantir has beaten revenue expectations for eight straight quarters so far, and its stock has gone up 30% since the last earnings call on August 2, outperforming the S&P 500’s 10% growth.
Market watchers are thus generally upbeat. A long-time Palantir bull and analyst, Tom Nash, is arguing that the newly expanded partnership with Nvidia (NASDAQ: NVDA) is providing another crucial advantage.
“Nvidia and Palantir are the picks and shovel sellers in this gold rush. Nvidia’s priced accordingly. Palantir at $500B is a steal once people realize its true value,” Nash posted on X.
Similarly, Wedbush Securities analyst Dan Ives, stated in a recent Schwab Network appearance that the skeptics have been wrong at every stage, from $15 to $100, and still “underestimate the scale and scope of the AI revolution.”
“The haters hate. I mean, the reality is that the bears were yelling when it was $15, screaming from the mountaintops at $50, yelling fire in a crowded theater at $100 and so on … .There’s no better company that’s really changing,” said Ives.
In addition, Wedbush raised its PLTR target price from $200 to $230, maintaining an “Outperform” rating on the stock.
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